House move after 12 months - Do Mortgage Lenders frown upon it?

DiscoCat54

Thanks in advance for any advice that you can offer...

The basic background is as follows:

I moved into a new house in November of last year expecting to stay here for a minimum of 5 years before moving 200 miles away to support my parents in their twilight years. Unfortunately my mother's altzheimers has taken a turn for the worse and whilst she's physically fine she is deteriorating mentally at quite a rapid rate.

The house cost £387k with an 85% LTV.

In order to support my parents I need to move asap and I'd be looking at aound 340k for a comparable property. I fully appreciate that there will be penalties payable to my current mortage provider (Santander) however due to my situation I have no option but to bite the bullet.

My question is this, are Mortgage lenders less likely to lend if they can see that you have had a mortgage accepted in the last 12 months or does it not make any difference?

I have looked at renting my house but unfortunately the figures don't add up...

amnblog

not a problem

dimbo61

What kind of mortgage do you have ?
Is it fixed for 2/3/5 years?
How much is your property now worth ? Are you going to lose money on the sale?
Could you PORT the current mortgage to a new property near your parents ?
You face selling costs, moving costs etc

Thrugelmir

DiscoCat54 wrote: »

My question is this, are Mortgage lenders less likely to lend if they can see that you have had a mortgage accepted in the last 12 months or does it not make any difference?

People rarely move 200 miles away without good reason.

Nor do people normally sell up within such a short period of time. As the costs incurred in buying\selling\buying don't make financial sense, unless the move is a personal priority.

Goldiegirl

As long as you pass their credit score system and registered yourself on the voters roll, they won't care how long you've lived in your current house, it certainly won't be frowned on.

The only issue you may have had, is, if you'd wanted to move before you'd owned the property for six months, you buyer may not have been able to get a mortgage on your house.

But after that, it's not an issue.

DiscoCat54

Thank you all for your responses. With the additional fixtures and fittings I paid 395 for our house plus an additional 6k on blinds and light fittings (I genuinely thought I'd would be here for much longer!). I have a 3 year tracker mortgage which is deemed portable. The problem I have is that there is one other house of the same design for sale with the builder but due to the rather strange choice of kitchen and bathroom it isn't selling. It's on the market for 395k. That would lead me to believe that I'm going to have to take a big hit on the price of mine as it's now 9 months old and second hand but seeing as I genuinely have no choice I'm just going to have to be stoic and accept it for what it is.
A further issue is that in order to fund the move I'd have to go to a LTV of 90%... None of it is ideal, I know...

michaels

Is renting at both ends really impossible - perhaps if you rent something smaller if you are not going to be there forever, the interest on your current mortgage should be offset-able against the rental income for tax purposes. I don'tr know what Santanders policy is on consent to let - perhaps a 1% surcharge?

DiscoCat54

Thanks, Michaels. Whilst the house prices here are reasonably high the rental values are quite low in comparisson and the potential rental figure I have been given doesn't cover the mortgage payments

GMS

Sorry to hear about your Mum.

What about your employment? Can this be transferred to the new location?

amnblog

Why are you asking more for it that you paid for it? Resale prices are usually a chunk lower than new prices. That is possibly why it is not seeling.

DiscoCat54

Hi amnblog, I possibly didn't word it very well. I'm not asking more for it than I paid for it, I haven't even had it valued yet. There is another house available for the same style for £395 but I'm well aware I won't achieve that...

Employment is absolutely fine to be transferred to new location so no issues there...